Surly Thread of Business Owners/Managers, Etc. & Current Business Climate

[G650 14277]

3 minutes ago, Chewbacca said:

Why does anyone still bank with them?  They are the fucking worst and have been for years.  

I can see a massive bloodletting with all the national guys after this.

[deadshank 24653]

7 minutes ago, G650 said:

I can see a massive bloodletting with all the national guys after this.

Please let it happen.  Big banks are worstest of the worst.

[pacman 7371]

58 minutes ago, Chewbacca said:

Why does anyone still bank with them?  They are the fucking worst and have been for years.  

Socialism for corporations...

[VABuckeye 2472]

1 hour ago, G650 said:

I can see a massive bloodletting with all the national guys after this.

I'll be looking for a small bank or credit union to deal with from now on.

[G650 14277]

22 minutes ago, VABuckeye said:

I'll be looking for a small bank or credit union to deal with from now on.

I met one today and started the process.

[Eastwood 4394]

26 minutes ago, VABuckeye said:

I'll be looking for a small bank or credit union to deal with from now on.

Just be careful who you choose. Finally heard back from my bank (local credit union) today and they fully confessed to not having the resources to deal with the surge and fully copped to leaving me in the dark. I told them that I appreciate the honesty, but the genie is already out of the bottle. I found another small bank that had me on the phone and applying with 10 minutes of calling them and I didn't have a single cent in their bank. Not all small banks are created equal.

[VABuckeye 2472]

Absolutely.  I've had a couple referred to me already but there's going to be a process to this.

[Lat22 4017]

A credit union is not a bank. 

[VABuckeye 2472]

No they aren't but there's a chance one could suit the needs of my business.

[Dbeasy 15092]

Not trying to get political in here, but is the PPP or any other SBA loan available for marijuana businesses and abortion clinics too? No CR in this, just wondering a simple yes or no based on it being federal funding.

I’m really not sure about the success of a business that sells both marijuana and abortions, but good luck.

[bluto 4942]

Why does anyone still bank with them?  They are the fucking worst and have been for years.  

I opened an acct with them bc they offered a 10% bonus if I ach’d $4k into a checking acct and left it for 3 months. I like free money so I signed up and will w/d and close it out when the deal clears.

[Bevo 13601]

On 4/8/2020 at 12:04 PM, victory88 said:

Yeah, I applied for the EIDL loan Monday morning of last week.  Absolutely nothing.  No confirmation email.  NADA.  And if we get the 10k, that would barely cover 1/3 of one month's expenses for our start up.  If they do 1k per employee, they can go fuck themselves as that won't even cover a fraction of our monthly payroll.  As usual, our government has royally fucked this whole situation up.  We're a dental office that is not considered "essential" and we are forced to close down... yet there are fucking car washes still open.  I'm all for social distancing and flattening the curve, but I'm going to full open in May and I don't give a fuck what mandates there are in place at that time.  I'm not going to lose 50-60k over the next 2-3 months when plenty of businesses are still open and running.  

Have you changed your plan?

[pacman 7371]

https://sites.google.com/view/ppptool/home

 

If you are bored, tracking tool of funds.

[deadshank 24653]

One venture got funded yesterday.  The other venture is in line for the second go round.  

Batting .500.    HOF material.

 

[shakahorn 1645]

EIDL payments starting to come out.  Most folks are getting $1k per employee up to a max of $10k.  It's odd, we never got an email but the money showed up last night.  Wife's (no pics assholes) dental practice got an email a couple weeks ago and her money showed up this morning, as it did for a couple of her dentist friends.

[hornian 5223]

We got PPP for one entity deposited today.

Bank swears other entity has an SBA number and ETRAN number, but haven't even had to sign anything for that. That one was delayed by changing guidance about whether to include partners in the payroll of the entity or have partners file on their own. We did get the application updated, but it seems to be slowing it down. 

Of course the loan for the entity that was funded (one employee making $15/hour) was about 8% of the loan for the entity we are still waiting on (more employees, making more money), so having heartburn about that. 

Going through BB&T for these, even though the 2nd entity banks primarily with Wells Fargo. Will be moving all business away from Wells Fargo after this PPP debacle. 

[hornian 5223]

1 hour ago, shakahorn said:

EIDL payments starting to come out.  Most folks are getting $1k per employee up to a max of $10k.  It's odd, we never got an email but the money showed up last night.  Wife's (no pics assholes) dental practice got an email a couple weeks ago and her money showed up this morning, as it did for a couple of her dentist friends.

I think I submitted something for a EIDL for one of my business, but I don't even remember getting to a point where I would enter a bank account or routing number. How did they get that info to deposit the funds?

Edited April 21, 2020 by hornian

[4th and 5 4915]

On 4/20/2020 at 1:19 PM, Brew said:

Health insurance is included in the definition of payroll costs along with the other payroll related items.

I was going to ask that question.

 

So if I am a sole practitioner with 2 employees (I don't pay their health insurance) and I pay for my own insurance premium is that covered as "payroll?"

What if that amount includes my entire family? Is it just my portion of the premium?

[hornian 5223]

1 minute ago, 4th and 5 said:

I was going to ask that question.

 

So if I am a sole practitioner with 2 employees (I don't pay their health insurance) and I pay for my own insurance premium is that covered as "payroll?"

What if that amount includes my entire family? Is it just my portion of the premium?

My guidance was it was only included if it was "group" health insurance. But that guidance changed a lot so who really knows. 

I submitted for the entire group premium, which included family members. 

[blacklab 11951]

2 hours ago, shakahorn said:

EIDL payments starting to come out.  Most folks are getting $1k per employee up to a max of $10k.  It's odd, we never got an email but the money showed up last night.  Wife's (no pics assholes) dental practice got an email a couple weeks ago and her money showed up this morning, as it did for a couple of her dentist friends.

Ours showed up this afternoon. 

[VABuckeye 2472]

Hopefully ours shows up soon.  Our operating account isn't too happy right now.  If I could just get receivables received things would be just fine.

[Jhawk 1075]

Well... today was the first day of pain for us.  $1.4M deal down the drain because of yesterday's oil prices.  We're lucky that we have a real estate portfolio and a healthy bank account to float us but we're expecting little activity in what is 80% of our business (mineral rights & leasing) until August at best.  We can't lease/buy anything because we don't know where the market will be to sell.  Thus we just sit on our hands and try to gather market data.

The unfortunate part is that this delays us being more aggressive in real estate by 2 quarters.  I know my problems aren't half of what everyone else is dealing with but damn.  A record year with massive moves just became a stagnant year where we don't get to shift our assets from one-off investment gains to residual income based operations.

[G650 14277]

27 minutes ago, VABuckeye said:

Hopefully ours shows up soon.  Our operating account isn't too happy right now.  If I could just get receivables received things would be just fine.

I'm with you on the receivables bit.  Money has slowed to a trickle.

[Texaus 377]

My eidl advance showed up today. No emails at all

[Brew 3049]

4 hours ago, 4th and 5 said:

I was going to ask that question.

 

So if I am a sole practitioner with 2 employees (I don't pay their health insurance) and I pay for my own insurance premium is that covered as "payroll?"

What if that amount includes my entire family? Is it just my portion of the premium?

My gut says it’s just employer paid premiums which would be fine if you didn’t have employees. Since you do and don’t offer it to them, I’m not sure. I haven’t seen that issue.

[Brew 3049]

2 hours ago, G650 said:

I'm with you on the receivables bit.  Money has slowed to a trickle.

Is it a function of places being closed and no one to pay bills or is it more related to customers having difficulty making payments? We have been studying ours quite a bit because March is our high point for the year on receivable/WIP and it seems to be more related to closures than true client problems. We’ve still had decent collections but we have a number of clients that have been closed and not paying anyone that will be fine long-term.

[Incredulity 11683]

We have gotten some form letters regarding extending payments to 90 days and our responses have been, no pay/no work.  That has worked thus far but we are fully expecting to get stiffed on a portion eventually.  I empathize with everyone on the realities of this situation but the cold hard truth is the road to hell is paved with good intentions.  Specifically with regards to AR/AP.

[G650 14277]

9 hours ago, Brew said:

Is it a function of places being closed and no one to pay bills or is it more related to customers having difficulty making payments? We have been studying ours quite a bit because March is our high point for the year on receivable/WIP and it seems to be more related to closures than true client problems. We’ve still had decent collections but we have a number of clients that have been closed and not paying anyone that will be fine long-term.

Mostly banks clamping down on liquidity so far. Not cutting off completely but slow playing the draws with every conceivable excuse. Will be about 1.5 m in past due money by next week

[deadshank 24653]

48 minutes ago, G650 said:

Mostly banks clamping down on liquidity so far. Not cutting off completely but slow playing the draws with every conceivable excuse. Will be about 1.5 m in past due money by next week

That's not good.  Will be fun times when the demand letters roll in and the bank says you need to clear those up before they release funds.  Nothing like being the interest free, short term lender.  

[G650 14277]

5 minutes ago, deadshank said:

That's not good.  Will be fun times when the demand letters roll in and the bank says you need to clear those up before they release funds.  Nothing like being the interest free, short term lender.  

Coronavirus aside, I've had to remind plenty of customers over the years I'm not a financier.

[VABuckeye 2472]

20 minutes ago, G650 said:

Coronavirus aside, I've had to remind plenty of customers over the years I'm not a financier.

Seems like short term banker is the second hat we wear.

[deadshank 24653]

Who didn't see this happening?

https://www.cnbc.com/2020/04/21/large-public-companies-are-taking-small-businesses-payroll-loans.html

 

[VABuckeye 2472]

What is and what isn't a small business needs to be looked at hard.  The range of what is determined to be a small business is simply too broad.

[deadshank 24653]

4 minutes ago, VABuckeye said:

What is and what isn't a small business needs to be looked at hard.  The range of what is determined to be a small business is simply too broad.

Coupled with free money and you get all sorts of zaniness and maneuvering.  

[Spaulding Smails 1555]

13 hours ago, G650 said:

I'm with you on the receivables bit.  Money has slowed to a trickle.

Our AR is up 27% MOM.  On one hand, that's good because we're continuing to invoice.  On the other hand, it's bad because we went from 21% past due to 36% past due.  Money has definitely slowed.  I've had two commercial clients (one hospitality, one personal services) ask for extended terms or at least deferred payments.  We extended terms by 30 days for each but told them an intent to lien would be filed if we didn't receive payment.  

Earlier this month, we waived the processing fee for all clients.  This has helped keep cash flow in check, but has degraded margins.  I'm guessing our AR would be up closer to 40% if we hadn't taken those measures.  That's not an option for all businesses, but may be a viable alternative if anyone needs an boost to cash flow.

[Brew 3049]

8 minutes ago, deadshank said:

Who didn't see this happening?

https://www.cnbc.com/2020/04/21/large-public-companies-are-taking-small-businesses-payroll-loans.html

 

Good lord, that whole article is misleading. There were only something like 12 of those companies that were over 500 employees and they were all restaurant/hotel groups that qualified under the location exceptions. Even if the argument is they shouldn’t have qualified because they were over 500 employees, the other 60+ qualified under the rules. I don’t see how any of the restaurant groups would have qualified for forgiveness in the end, so I’m sure they were just chasing the low interest loan product.

[deadshank 24653]

11 minutes ago, Brew said:

Good lord, that whole article is misleading. There were only something like 12 of those companies that were over 500 employees and they were all restaurant/hotel groups that qualified under the location exceptions. Even if the argument is they shouldn’t have qualified because they were over 500 employees, the other 60+ qualified under the rules. I don’t see how any of the restaurant groups would have qualified for forgiveness in the end, so I’m sure they were just chasing the low interest loan product.

I'm thinking the liked the loan at1%

[Loco 3754]

Small Business Rescue Earned Banks $10 Billion In Fees

https://www.npr.org/2020/04/22/840678984/small-business-rescue-earned-banks-10-billion-in-fees

 

Thank you for your service fee!

Edited April 22, 2020 by Loco

[Cheeseweasel 26438]

24 minutes ago, Brew said:

Good lord, that whole article is misleading. 

Welcome to "Now that Newspapers are dead, how do we sell News in 2020?"

[Brew 3049]

13 minutes ago, Loco said:

Small Business Rescue Earned Banks $10 Billion In Fees

https://www.npr.org/2020/04/22/840678984/small-business-rescue-earned-banks-10-billion-in-fees

 

Thank you for your service fee!

The information that is going to come out in the lawsuits mentioned in that article is going to be interesting. I don’t know of any banks around here outside of one that already did SBA lending that truly processed first come first serve. The next issue will be those that didn’t get the appropriate funds because calculations were wrong because the guidance sucked.

Edited April 22, 2020 by Brew

[Reagan1k 3024]

1 hour ago, G650 said:

Coronavirus aside, I've had to remind plenty of customers over the years I'm not a financier.

Yep......I'm not your bank.  I didn't loan you equipment.....I sold it to you.  I understand your claim that your customer hasn't paid you yet, but nowhere in this order was it listed as a consignment sale.

[DefinitelyNotHollywoodColt 12301]

We were notified Friday AM that PPP ran out before our app was approved. Had to furlough 65% of our employees that day. Worst day of my career by a long shot.

They blew through the first $350B on less than 2MM businesses, so just under 20MM are waiting for the next round that consists of around the same $350B? Those odds aren’t good.

Sidenote: we’ve banked with Chase for over 15 years and our fucking banker didn’t return a single call or email as we were scrambling to line up for PPP. Fuck you, Chase.

[MaclovioBrown 100]

34 minutes ago, Loco said:

Small Business Rescue Earned Banks $10 Billion In Fees

https://www.npr.org/2020/04/22/840678984/small-business-rescue-earned-banks-10-billion-in-fees

 

Thank you for your service fee!

Banks will also be point on the forgiveness arm of the program. I anticipate this will be a heavy workload justifiable of the origination fee. Oh and we baby banks are tying up our own liquidity. 

[Brew 3049]

13 minutes ago, MaclovioBrown said:

Banks will also be point on the forgiveness arm of the program. I anticipate this will be a heavy workload justifiable of the origination fee. Oh and we baby banks are tying up our own liquidity. 

All banks are tying up some measure of liquidity on loans with at best very little interest recovery. The article fails to tie together the fact that fees are replacing that income on the banks funds that have been loaned. Plus, it has to cover the front/back end workload that falls 100% on the banks.

[Brew 3049]

20 minutes ago, DefinitelyNotHollywoodColt said:

We were notified Friday AM that PPP ran out before our app was approved. Had to furlough 65% of our employees that day. Worst day of my career by a long shot.

They blew through the first $350B on less than 2MM businesses, so just under 20MM are waiting for the next round that consists of around the same $350B? Those odds aren’t good.

Sidenote: we’ve banked with Chase for over 15 years and our fucking banker didn’t return a single call or email as we were scrambling to line up for PPP. Fuck you, Chase.

Most of the large eligible businesses have been covered at this point which increases per business odds. The money basically lasted about 10 days after banks started getting apps processed. I think it probably goes faster this time as the banks know what they are doing now and they have still been taking apps all the way through.

Hopefully at this point you got it worked out with Chase to be in line for round 2 since you did get a rejection notice or you found a smaller bank.

[Frieda’s Boss 181]

Apparently our initial application was rejected for what our bank is telling us was a “330 error” which they can’t identify the cause of. Anyone else seen this and been able to determine the issue?  They say they are ready to resubmit in this 2nd wave but don’t know if it will just get rejected again. 

[Cheeseweasel 26438]

Just now, Frieda’s Boss said:

Apparently our initial application was rejected for what our bank is telling us was a “330 error” which they can’t identify the cause of

Shit's borked.

[G650 14277]

404 or gtfo

[Incredulity 11683]

34 minutes ago, Frieda’s Boss said:

Apparently our initial application was rejected for what our bank is telling us was a “330 error” which they can’t identify the cause of. Anyone else seen this and been able to determine the issue?  They say they are ready to resubmit in this 2nd wave but don’t know if it will just get rejected again. 

 

 

NO CR

[Jhawk 1075]

1 hour ago, DefinitelyNotHollywoodColt said:

We were notified Friday AM that PPP ran out before our app was approved. Had to furlough 65% of our employees that day. Worst day of my career by a long shot.

They blew through the first $350B on less than 2MM businesses, so just under 20MM are waiting for the next round that consists of around the same $350B? Those odds aren’t good.

Sidenote: we’ve banked with Chase for over 15 years and our fucking banker didn’t return a single call or email as we were scrambling to line up for PPP. Fuck you, Chase.

I made a call to chase several weeks ago regarding some basic account management and to void a check.  My business banker referred me to a hotline and said "I'm not supposed to be directly helping anyone anymore, we're going to a call in model."  This gal and I already have a sordid past with me trying to get her off her ass to help me so I just let loose and told her that she should quit her career in banking because her customer service is terrible and that I'll never call her again for anything.  As far as I'm concerned, next time I have to call chase I am asking to be reassigned to a different contact.  Even if the new contacts makes zero dollars off me and has the same restrictions, I want our banker to know that she was fired.  Fuck chase.